Markets15 September 20245 min read
September 2024: Sydney rolls over
Sydney values fell 0.1% in September — the first monthly decline since the recovery began. Affordability finally bit.
Why Sydney first
Sydney's median price-to-income ratio crossed 11x by August 2024. With rates still at 4.35% and Stage 3 cuts not enough to offset, the marginal buyer ran out of capacity. Listings began rising as vendors front-ran expected further weakness.
The rotation accelerates
Sydney's softness re-emphasised the Perth/Brisbane/Adelaide thesis. Through Q4 2024, capital flowed disproportionately to sub-$900k new-build product in non-Sydney capitals. The capital-city dispersion widened further.
Dax Stanley
Founder & Principal Strategist, Hera Property. #1 international bestselling author of Real Estate Investing Using ChatGPT.